Author Question: Checks that people write are A) the largest component of the money supply. B) not money. C) ... (Read 253 times)

craiczarry · **on:** Jun 29, 2018

Checks that people write are

A) the largest component of the money supply.
B) not money.
C) only part of M2 but not part of M1.
D) part of M1 but not part of M2.

Question 2

Sarah and Diane are both billing clerks for the local trucking company earning 17,000 per year. Sarah is attending college, plans to graduate in one year and earn 55,000 as an economist.

Diane is not in college or undergoing any specialized training and will have the same job next year. According to economic theory, which of the two individuals would tend to have a higher current savings rate? A) Diane
B) Sarah
C) Both will have the same saving rate.
D) Economic theory sheds no light on this question.